Lee begins work at Cheong Wa Dae as presidential office moves back SEOUL, December 29 (AJP) - President Lee Jae-myung worked his first day at Cheong Wa Dae on Monday as the presidential office moved back to the sprawling presidential compound in central Seoul. The relocation comes about 1,330 days after the office moved to Yongsan in May 2022 with the inauguration of his predecessor Yoon Suk Yeol, who was impeached over his Dec. 3 declaration of martial law last year. Lee arrived there at about 9 a.m., greeted by supporters who gathered outside chanting his name. Lee will continue commuting from his current residence in Hannam-dong for the time being, as repairs to the official residence are not yet finished. Upon relocation, a symbolic flag representing the country's head of state was raised at Cheong Wa Dae again. The flag features the national flower mugunghwa or rose of Sharon at the center, flanked by two mythical phoenixes facing each other. 2025-12-29 10:37:45

KAIST team develops one-second powder to stop battlefield bleeding SEOUL, December 29 (AJP) - Researchers at the Korea Advanced Institute of Science and Technology have developed a powder-based hemostatic agent that can stop heavy bleeding within approximately one second of contact. The technology is designed to improve the survival rates of soldiers in combat environments where excessive blood loss is the leading cause of death. The Korea Advanced Institute of Science and Technology (KAIST) announced on December 29 that a joint research team led by Professor Steve Park from the Department of Materials Science and Engineering and Professor Jeon Sang-yong from the Department of Biological Sciences created the material. The project included the participation of an active-duty South Korean Army major to ensure the technology meets the practical demands of the battlefield. Traditional hemostatic agents often come in the form of patches, which are difficult to apply to deep or irregularly shaped wounds. These patches can also lose effectiveness in high-temperature or humid environments. To overcome these limitations, the KAIST team developed a powder that can be sprinkled directly into any wound shape, instantly forming a strong physical barrier. The new material, named AGCL powder, is made from natural substances including alginate, gellan gum, and chitosan. When the powder touches blood, it reacts with calcium ions naturally present in the body. This reaction causes the powder to turn into a solid hydrogel in about one second, sealing the wound. Chitosan further strengthens this seal by binding with blood components. The AGCL powder can absorb blood weighing more than seven times its own weight. In testing, it demonstrated a sealing pressure of over 40 kilopascals, which is strong enough to withstand heavy, high-pressure bleeding even when external pressure is applied by hand. This performance significantly exceeds that of existing commercial products. Animal testing showed that the powder is safe and promotes healing. It resulted in a hemolysis rate of less than 3 percent and a cell survival rate of over 99 percent, while also providing 99.9 percent antibacterial protection. In liver surgery experiments, the powder reduced blood loss and shortened bleeding time compared to current medical products, with liver functions returning to normal within two weeks. The powder remains stable for two years even when stored at room temperature in high humidity. This durability makes it suitable for use in combat zones, disaster areas, or regions with limited medical infrastructure. While developed for military use, the researchers noted the technology can be applied to civilian emergency medicine and surgical procedures. "The core of modern warfare is minimizing the loss of life," said Park Kyu-soon, a doctoral student at KAIST and a major in the South Korean Army who served as the first author of the study. "I started this research with a sense of mission to save even one more soldier. I hope this technology will be used to save lives in both national defense and civilian medical fields." The research was supported by KAIST and received the Minister of National Defense Award at the 2024 KAIST-KNDU Defense Academic Conference. (Paper information) Journal: Advanced Functional Materials (impact factor 19.0) Title: An Ionic Gelation Powder for Ultrafast Hemostasis and Accelerated Wound Healing DOI: https://doi.org/10.1002/adfm.202523910 2025-12-29 10:35:34

Budget minister nominee defines Korea under near-term perfect storm SEOUL, December 29 (AJP) -Lee Hye-hoon, a former three-term opposition lawmaker and economist tapped as the inaugural Minister of Planning and Budget, on Monday described the South Korean economy under a near-term "perfect storm", requiring a fundamental rethink of government spending priorities are set. “We need an approach that finds and eliminates unnecessary spending, while investing boldly in people’s livelihoods and growth,” Lee said as she reported for work at her temporary office at the Korea Deposit Insurance Corp. in Seoul, a day after her nomination. Observing the economy in "structural and complex" crisis, she named structural challenges: a population crisis, climate change, deepening polarization, sweeping industrial and technological disruption, and the decline of regional communities. She described the situation not as an unforeseen “black swan,” but as a “gray rhino” — a widely recognized and repeatedly warned-of risk that has long been ignored until becoming dangerous. “The challenges we face today were visible for a long time,” she said. “What we are dealing with now is the result of failing to respond early enough.” Lee said the newly created Ministry of Planning and Budget was established to move beyond short-term, reactive policymaking and instead serve as a “strategic planning control tower” for the country’s future. She stressed the need to more tightly link planning and budgeting, rather than allocating funds on a case-by-case basis. “I will ensure that taxpayers’ money becomes investment for the future, and that this investment in turn improves people’s lives,” she said. “That is how we create a virtuous strategic cycle.” Lee, a long-time critic of cash-driven fiscal expansion pursued by liberal governments, stopped short of commenting on Lee Jae Myung administration's expansionary fiscal stance, saying she would speak on the matter separately. 2025-12-29 10:28:43

Celltrion wins FDA nod for phase 1 trial of bispecific antibody cancer drug SEOUL, December 29 (AJP) - Celltrion said Monday it has secured U.S. Food and Drug Administration (FDA) approval to begin a phase 1 clinical trial of CT-P72/ABP-102, a bispecific antibody drug designed to treat HER2-expressing solid tumors. The drug, co-developed with U.S.-based Abpro, employs a T-cell engager mechanism that links immune cells directly to cancer cells expressing the HER2 protein. Celltrion plans to begin dosing patients next year following preparatory procedures, according to a company statement. Preclinical studies presented at the Society for Immunotherapy of Cancer conference in November showed the drug suppressed tumors in mice with both high and low HER2 expression, while demonstrating tolerability in primate toxicity tests at doses up to 80 milligrams per kilogram. "CT-P72/ABP-102 is a multispecific antibody candidate that showed potential for improved therapeutic index through antibody binding adjustments in preclinical stages," a Celltrion official said. The approval marks Celltrion's second regulatory milestone for its novel drug pipeline in recent months, following the FDA's fast-track designation for its antibody-drug conjugate CT-P70. Celltrion aims to expand its pipeline to 20 novel drug candidates by 2027, including 10 in clinical stages, as it seeks to reduce its reliance on biosimilar products. 2025-12-29 10:22:41

Coupang offers compensation to 33.7 million users over data breach SEOUL, December 29 (AJP) - Coupang will compensate its users over a massive data breach, the e-commerce giant said on Monday. Starting mid-January, the U.S.-listed company will distribute 1.68 trillion Korean won (US$1.17 billion) in compensation, providing 50,000 won in purchase vouchers per person to paid Wow subscribers, regular users, and former customers who have closed their accounts. The voucher package, set to be distributed on Jan. 15, includes 5,000 won each for Coupang's main shopping platform and its food delivery service Coupang Eats, as well as 20,000 won for travel products and an additional 20,000 won for affiliated luxury beauty and fashion items. Those eligible for compensation will be notified via text message. The compensation plan comes a day after Coupang founder Kim Bom-suk issued his first public apology since the incident, which was revealed on Nov. 18 and involved the leak of sensitive personal information of around 33.7 million customers. The U.S.-based founder apologized the previous day for his belated response, saying he initially believed it was best to "communicate only after all the facts were confirmed." "In retrospect, this was a poor judgment. While Coupang worked tirelessly to resolve the situation, I should have expressed my deepest regrets and sincere apologies from the beginning. My heart has been heavy ever since I first learned of the data breach," Kim said. The compensation package appears aimed at appeasing customers amid an exodus of subscribers from the platform. However, public outrage continues, as the package is seen as insufficient and non-substantive. Moreover, Kim has repeatedly failed to appear for questioning, while only the company's nominal and interim CEO attended a parliamentary hearing on Dec. 17 and offered vague and evasive answers. Interim CEO Harold Rogers, who replaced former CEO Park Dae-jun following his resignation over the breach earlier this month, said the compensation is a "responsible measure for our customers" and pledged that the company would "fulfill its responsibilities to the end" in a statement. "I once again deeply apologize to our customers," he added. Meanwhile, Coupang said it had traced a former employee responsible for the data leak and recovered the equipment used in the hacking. 2025-12-29 10:07:40

Trading in dollar-pegged stablecoins surges as won weakens SEOUL, December 29 (AJP) - As the Korean won weakens against the greenback, trading in dollar-pegged stablecoins has surged, with volumes growing 2.4-fold over the past three months. Rising demand for dollars for overseas investment has boosted trading in stablecoins that can serve as a dollar substitute. According to data from the Bank of Korea, stablecoin trading rebounded sharply after hitting a low in June. Monthly trading value for dollar stablecoins (USDT, USDC and USDS) across South Korea's five major crypto exchanges - Upbit, Bithumb, Coinone, Korbit and Gopax - fell to 7.1 trillion won in June, the lowest since September 2024 (5.2 trillion won). But volumes then surged to 11.3 trillion won in July, 12.1 trillion won in August and 16.9 trillion won in September. September's trading volume was the highest since February (24.6 trillion won), though it remained well below December of last year (31.7 trillion won), when the broader crypto market surged on expectations for U.S. President Donald Trump's second term. Average daily trading showed a similar trend, falling to 238 billion won in June, the lowest since September 2024 (174.3 billion won) before climbing to 363.2 billion won in July, 391.1 billion won in August and 563.2 billion won in September. The BOK's latest figures do not include October, but trading that month is estimated to have risen further. Upbit's own tally showed October trading volume for USDT, a leading stablecoin, at about 6.9 billion tokens, up more than 30 percent from September's roughly 5.2 billion. The rebound has been attributed to the weakening won, which depreciated sharply against the dollar, from 1,366.95 in June to 1,423.36 in October. A crypto market insider said investors expecting further gains in exchange rates may have bought stablecoins to acquire dollars, boosting trading volumes. The broader crypto market rally, with bitcoin hitting an all-time high in October, also likely contributed as well. Meanwhile, discussions on introducing won-denominated stablecoins are likely to be delayed until next year, as related legislation remains pending at the National Assembly. The main focus of the debate is whether they should be limited to banks or extended to nonbank institutions such as fintech firms. 2025-12-29 09:52:06

North Korea conducts test of long-range cruise missiles SEOUL, December 29 (AJP) - North Korea test-fired long-range cruise missiles toward the West Sea, state media said on Monday. According to the state-run Korean Central News Agency (KCNA), they flew along a preset route "for 10,199 seconds and 10,203 seconds" before striking their targets. The launch, which was conducted the previous day with the country's leader Kim Jong-un in attendance, was part of drills aimed at checking the strategic weapons system's accuracy while strengthening the combat readiness and capabilities of long-range missile units. Expressing "great satisfaction," Kim reportedly said the drills were for self-defense, as the country is "facing various security threats." 2025-12-29 09:09:17

Korean Inc. business sentiment for Jan deteriorates SEOUL, December 29 (AJP) -South Korean companies expect business conditions to remain weak in January, with sentiment slipping across both manufacturing and services amid prolonged weakness in construction and steel and early signs of softer demand in semiconductors, the Federation of Korean Industries (FKI) said Monday. The group said its Business Survey Index (BSI) for January is projected at 95.4, down from 98.7 in December. A reading below 100 means more firms expect conditions to worsen than improve. The sentiment for December business conditions was lower at 93.7. FKI noted that the outlook index has now remained below the 100 threshold since February 2022, underscoring the prolonged downturn in domestic demand and volatile external front. By sector, the manufacturing outlook came in at 91.8, while nonmanufacturing was higher at 98.9. Within manufacturing, pharmaceuticals (125.0) and textiles, apparel, leather and footwear (107.7) were among the few industries expected to improve. General and precision machinery, wood furniture and paper, and food, beverages and tobacco were clustered at the neutral 100 level. Most major industries, however, remained below the baseline. Automobiles and other transport equipment stood at 94.1, electronics and communications equipment at 88.9, metals and metal processing at 85.2, petroleum refining and chemicals at 86.2, and nonmetal mineral products at 64.3. FKI said weakness in construction and steel has persisted, while a temporary slowdown in demand for electronics and communications equipment due to spike in chip prices, has weighed on overall manufacturing activites. In nonmanufacturing, electricity, gas and water scored 115.8, information and communications 113.3, leisure, lodging and dining 107.1, and wholesale and retail trade 103.6, indicating improving conditions. By contrast, transportation and warehousing (95.7), construction (85.7), and professional, scientific and business support services (78.6) were expected to weaken. For January, domestic demand was forecast at 95.4, exports at 96.7 and investment at 92.6. Employment (92.6), financing conditions (94.5) and profitability (94.5) were also expected to remain in contractionary territory.Lee Sang-ho, head of FKI’s economic and industrial policy division, said that although economic growth is expected to improve compared with the previous year, corporate sentiment has yet to recover. “Structural weaknesses in sectors such as construction and steel persist, while rising costs and uncertainty continue to weigh on companies,” Lee said, calling for measures to support industrial restructuring, ease energy and cost burdens, and avoid uniform regulations that increase management uncertainty. * This article, published by Aju Business Daily, was translated by AI and edited by AJP. 2025-12-29 07:26:07

Earthquake in Taiwan, home to TSMC and Micron fabs, to add boon to Korean chipmakers SEOUL, December 29 (AJP) -A powerful level-4 earthquake in Taiwan, home to a large share of the world’s semiconductor manufacturing capacity, has renewed concerns over supply-chain vulnerability and could ultimately strengthen the competitive position of South Korean chipmakers Samsung Electronics and SK hynix, analysts said. Some semiconductor fabrication plants in Taiwan temporarily halted operations after a magnitude-7.0 earthquake struck the island on Saturday. Taiwan Semiconductor Manufacturing Co. (TSMC) activated emergency protocols, evacuating workers at facilities in the Hsinchu Science Park and conducting inspections of equipment and clean rooms. Based on TSMC's statement to local media, no damage has been reported yet, with all plants operating at full capacity and the status of the affected facilities was restored within just ten hours after the earthquake. The quake was the latest in a series of strong earthquakes to hit parts of the Pacific Ring of Fire since October, including areas near Taiwan and Japan, underscoring the region’s seismic risk. Taiwan accounts for roughly 70 percent of global contract chip manufacturing, hosting major players such as TSMC, UMC and Powerchip. The island also houses Micron Technology’s DRAM production facilities. Micron produces about 16 percent of the world’s DRAM, according to industry estimates. While companies are still assessing the impact, analysts project prolonged disruptions could alter competitive dynamics with its closest rival, Samsung Electronics. Semiconductor manufacturing is highly sensitive to interruptions: even brief stoppages can force wafer scrapping and lead to significant financial losses, particularly at advanced nodes. The risk is most acute in leading-edge processes such as 3-nanometer chips, where TSMC and Samsung are among the few global producers and where supply disruptions can influence customer allocations and long-term contracts. TSMC has previously disclosed sizable losses linked to natural disasters. After a magnitude-7.2 earthquake in April last year, the company estimated losses of about $60 million, while earlier incidents — including a major power outage in 2021 and an earthquake in 2022 — also led to wafer losses and tens of billions of won in damages, according to company disclosures and industry reports. The latest quake could also strengthen the negotiating position of Samsung Electronics and SK hynix in DRAM pricing talks. If Micron, which produces a large share of its memory chips in Taiwan, experiences output constraints, global memory supply could tighten, supporting higher prices. That would likely provide a tailwind for South Korean suppliers’ earnings next year, analysts said. Historical precedent supports that view. After Japan’s 2011 Great East Japan Earthquake, prices of memory products such as DRAM and NAND flash rose more than 20 percent in the short term as markets priced in supply disruption risks. Over the longer term, repeated reminders of seismic and geopolitical risks are expected to reinforce efforts by global technology firms to diversify semiconductor supply chains away from excessive dependence on Taiwan. Online journal Foreign Policy recently noted that major earthquakes highlight how concentrated advanced chip manufacturing remains in a geographically vulnerable location, underscoring broader strategic risks. Samsung Electronics and SK hynix are set to start mass production next year of sixth-generation high-bandwidth memory (HBM4) for Nvidia’s next-generation artificial intelligence accelerators. Japan’s Nomura Securities recently raised its forecast for Samsung Electronics’ operating profit next year to 133.4 trillion won, citing continued AI-related investment and expanding server demand, and noting that pricing power in the memory market is gradually shifting from buyers to suppliers. * This article, published by Aju Business Daily, was translated by AI and edited by AJP. 2025-12-29 05:55:03

Weak won squeezes Korean airliners, KAL's profit to fall by double digits Weak won squeezes South Korea’s airlines, with Korean Air the lone profit holdout SEOUL, December 29 (AJP) -The Korean won, averaging its weakest level on record this year, has eaten into profitability across South Korea’s airline industry by driving up U.S. dollar-denominated costs for aircraft leases and fuel. According to financial data provider FnGuide, Korean Air’s consolidated operating profit for the year is estimated at 1.40 trillion won ($1.05 billion), down 33.5 percent from 2.14 trillion won a year earlier. The decline largely reflects rising costs linked to the weaker exchange rate. Airlines are particularly vulnerable to currency swings because a significant share of their expenses — including fuel, aircraft leases and maintenance — is denominated in the greenback. The weak won has also dampened outbound travel demand by raising overseas travel costs for Korean passengers. The blow would have been heavier on smaller carriers. Brokerage-house consensus forecasts show Asiana Airlines posting an operating loss of about 245 billion won this year, partly reflecting the impact of its cargo business divestment. T’way Air is projected to see operating profit fall by 223.1 billion won, Jeju Air by 140.9 billion won, and Jin Air by 4.2 billion won. Intensifying competition on short-haul routes — particularly to Japan and Southeast Asia — has compounded the pressure alongside the weak currency. Choi Min-gi, a senior researcher at Shinhan Securities, said Korean Air is relatively insulated because it earns a higher share of revenue in foreign currencies from inbound passengers and cargo, providing a form of “natural hedge.” Other airlines, he noted, are more directly exposed to exchange-rate fluctuations, which feed quickly into earnings volatility. Foreign-currency expenses account for roughly half of airlines’ operating costs, according to industry estimates. Using an exchange rate of 1,400 won per dollar as a benchmark, the sector calculates that every 10-won depreciation adds about 75.2 billion won in operating costs for Korean Air, 5.1 billion won for Jeju Air, 3.9 billion won for Jin Air and 5.9 billion won for T’way Air. The won that hovered around 1,480 for most of the month eased to 1,440.3 last Friday following verbal intervention and measures to stabilize foreign-exchange supply and demand. Market participants, however, say uncertainty over the currency outlook remains elevated. Asiana Airlines has moved to reinforce its financial buffer by issuing 200 billion won in perpetual bonds. Lee Jong-woo, a professor of business administration at Ajou University, said it would be difficult for both the exchange rate and broader economic conditions to improve meaningfully next year. He added that if industry restructuring and consolidation move forward, reduced competition could eventually help stabilize airline profitability. * This article, published by Aju Business Daily, was translated by AI and edited by AJP. 2025-12-29 05:38:21